The level of set back in cryptocurrency world caused by the backdrop of bitcoin has set the virtual currency highly susceptible to new bear-market lows. we all knew what happened last week. but before that, within the space of just 24 hours, bitcoins 30-day volatility index more than doubled. this was not just the quickest volatility exhibited this year but the largest in terms of percentage growth.
The bitcoin volatility index shows a measurement of how much the price of BTC Varies over time.The 30-day reading is calculated using the standard deviation of the daily open price over the previous month. The volatility index is also reported at 60-day, 120-day and 252-day windows. In all cases, the figures have skyrocketed over the course of the week
So in this fast changing crypto space. Volatility can be a double edge sword. you can take a huge profit just like we did in 2017 or we could crash out just like what happened last week.
i also wants to point out that The ratio, which divides bitcoins market cap by its average daily volume, suggests we are about halfway through a long-term bear trend.there are effects behind the dangling price. Bitcoin finding support and resistances. Trying to adjust to a level. absence of buyers interest, declining trade volumes,etc.
At times Like this in the Cryptocurrency era, should investors and Holders Be worried?